Corporate Banking
Services
Advice of Borrowing Terms
for
Vicon Industries Limited
From:
Portsmouth Corporate Office
13 March 2001
N
Advice of Borrowing Terms
Relationship Portsmouth Corporate Office Date: 13 March 2001
Office:
Borrower(s) Registered Number:
Vicon Industries Limited 1551194
We intend that the facilities listed in Part 1 of the attached Facility Schedule
(the "on-demand facilities") should remain available to the borrower(s) until 12
March 2002 and all facilities should be reviewed on or before that date. The
facilities are, however, subject to the following:-
o the terms and conditions below,
o the specific conditions applicable to an individual facility as detailed
in the Facility Schedule,
o the Security detailed in the attached Security Schedule, and
o the attached General Terms.
All amounts outstanding are repayable on demand which may be made by us at our
discretion at any time and the facilities may be withdrawn, reduced, made
subject to further conditions or otherwise varied by us giving notice in
writing.
Conditions:
The following conditions must be satisfied at all times while the facilities are
outstanding, but this will not affect our right to demand repayment at any time:
o Monthly management accounts in the existing format, including aged Debtor
profile, to be provided to us within 21 days of the end of the month to which
they relate.
o Audited accounts to be provided to us within 180 days of the financial year
end to which they relate.
o Lending formulae to continue to be adhered to whereby:
-> Debtors (less than 90 days) plus stock (minus Preferentials) to cover
Overdraft by 250%;
-> Debtors (less than 90 days) alone to cover Overdraft by 150%.
John McLellan
Corporate Manager
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For and on behalf of
National Westminster Bank Plc
Acceptance:
To signify your agreement to the terms and conditions outlined above please sign
and return the enclosed copy of this Advice of Borrowing Terms within 28 days.
Form of Acceptance
------------------
I accept the facility/facilities on the above terms and conditions and confirm
that I have been authorised by the Board(s) of Directors of the Borrower(s) to
sign this Form of Acceptance on behalf of the Borrower(s).
By (name and title): ................................
Date
For and on behalf of:
Vicon Industries Limited
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Facility Schedule
Part 1 - Facilities Repayable on Demand:
-----------------------
Overdraft: - Base rate
-----------------------
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Account Number: 01144642 / 06854451 (56-00-64)
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Name of Borrower Vicon Industries Limited
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Limit: (pound)600,000 (Six hundred thousand pounds) Split
(pound)550,000 on Sterling account number 01144642 &
(pound)50,000 (Euro 80,000) on Euro account number
06854451
- ------------------------------------------------------------------------------
Purpose: To finance working capital
- ------------------------------------------------------------------------------
Repayment: Fully fluctuating
- ------------------------------------------------------------------------------
1st Debit Interest 2% above the Bank's Base rate
Rate:
- ------------------------------------------------------------------------------
2nd Debit Interest 5% above the Bank's Base rate on borrowing over
Rate: (pound)550,000 on Sterling account number 01144642 and
(pound)50,000 (Euro 80,000) on Euro account number
06854451 or in excess of agreed facilities
- ------------------------------------------------------------------------------
Interest Payable: Quarterly
- ------------------------------------------------------------------------------
Arrangement Fee: (pound)1,850.00 will be debited on 13 March 2001
- ------------------------------------------------------------------------------
Excess Fees: We will be entitled to charge an excess fee at
the Bank's published rate for each day any agreed limit
is exceeded (see our "Services & Charges for Business
Customers" brochure for details).
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--------------------
Forward Exchange
--------------------
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Name of Borrower: Vicon Industries Limited
- ------------------------------------------------------------------------------
Contract Term: Maximum contract term of 6 months
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Purpose: Currency Hedging
- ------------------------------------------------------------------------------
Limit: (pound)300,000 where utilisation is calculated in
accordance with the Bank's
Forward Exchange Matrix from time to time.
- ------------------------------------------------------------------------------
----------------------
Terminable
Indemnities
----------------------
- ------------------------------------------------------------------------------
Name of Borrower: Vicon Industries Limited
- ------------------------------------------------------------------------------
Limit: (pound)250,000
- ------------------------------------------------------------------------------
Type and Purpose: HM Customs & Excise Duty deferment Bond
- ------------------------------------------------------------------------------
Basis of Expiry: Ongoing
- ------------------------------------------------------------------------------
Indemnity Fee: (pound)2,188 p.a. (i.e. 0.875%) payable half yearly in
advance,
debited biannually in instalments of(pound)1,094.00,
taken in Jan and July.
- ------------------------------------------------------------------------------
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Part 2 - Facilities Subject to Separate Documentation:
The following facilities are made available on the terms of the separate
documentation between us.
- ------------------------------------------------------------------------------
Name of Borrower Facility and Purpose Amount Date
(pound) Agreement
Signed
- ------------------------------------------------------------------------------
Vicon Industries Commercial Fixed Rate Originally 8 April
Limited Loan (pound)500,000 1997
To uplift Japanese Yen (balance
loan from Chugai (pound)308,334
Boyeici Co Ltd and to plus Interest)
provide working capital
- ------------------------------------------------------------------------------
--------------------
Settlement Risk
--------------------
- ------------------------------------------------------------------------------
Name of Borrower: Vicon Industries Limited
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Limit/Frequency: (pound)20,000 at any one time
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Type and Purpose: Inward Collections : to release Documents in Trust
- ------------------------------------------------------------------------------
--------------------
Settlement Risk
--------------------
- ------------------------------------------------------------------------------
Name of Borrower: Vicon Industries Limited
- ------------------------------------------------------------------------------
Limit/Frequency: (pound)500,000 per day
- ------------------------------------------------------------------------------
Type and Purpose: Daytime exposure limit to facilitate payments from
International Banking Centre in Redhill
- ------------------------------------------------------------------------------
--------------------
Cheque Negotiations
--------------------
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Name of Borrower: Vicon Industries Limited
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Limit: (pound)50,000
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Purpose: Negotiation of Foreign Cheques with Recourse
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Fees: Subject to separate tariff, calculated on sterling
value of cheque. Information available upon
request or at the time the service is provided
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Security Schedule
We rely on the security detailed below (and require additional security
where specified) to repay, on demand, all your current and future liabilities
(both actual and contingent) to us. These liabilities include, without
limitation, those incurred by you under the facility(ies) specified in the
Facility Schedule.
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Date Executed/New: Security: Given/to be given by:
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6 July 1989 Guarantee for(pound)1 million Vicon Industries Inc.
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9 April 1997 First legal mortgage over Vicon Industries (UK)
Industrial Unit at Site P3, Limited
Brunel Way, Segensworth
Industrial Estate, Fareham ,
Hampshire
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17 October 1990 Mortgage Debenture Vicon Industries (UK)
Limited
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